The book begins with Oscar insulting Ernie's "getup", and Ernie explaining "beneath this stripey shirt, there beats the heart of an artist." Eventually, Bert and The Count arrive, as Oscar insults the brightness of Ernie's painting. The Count counters, counting the "lovely colors".

Once Prairie Dawn arrives (oddly as a brunette), Bert and Prairie begin suggesting ways that Ernie can improve his painting. Big Bird arrives on a unicycle with Roosevelt Franklin, both thinking there must be a party going on. Despite Prairie's best attempts to get Big Bird to stop, his unicycle hit a pothole sending him on a collision course with all of them, hurling Ernie's head through the canvas. Ernie is aghast with horror at the sight of his ripped painting, covered with Roosevelt's ice cream.

Oscar arises from his can, wondering what the what caused the ruckus, only to discover that he now loves Ernie's artwork. Ernie gives the painting to Oscar, titling it "The View From Oscar's Trash Can".